Normally, a mature market must be a primary market and a secondary market that complement each other. The primary market incubates projects, and when the projects mature and scale up, they are listed in the secondary market for everyone to participate. In theory, this can reduce the risks of the secondary market. After all, there is a big difference between start-ups and listed companies.
But why do retail investors in the crypto market deny VC coins (also known as value coins)? There are only three reasons:
1. Deny the process and results of VC incubation;
2. Deny the quality of listed projects;
3. Deny the structure of chips and the way they are released.
In fact, this is not a problem with cryptocurrencies. A-shares have always had this problem. Investors have been shouting for no IPOs, because listed companies are all selling, and US stocks do better in this regard.
As retail investors, we have nothing to say about the current market situation. The only thing we can do is to appeal for three points:
1. Project owners: expand the initial circulation, such as achieving at least 50% of the initial circulation, and let the trading results of the secondary market determine the market value, rather than using a very small circulation to protect a very large market value;
2. VC: Don’t be so crazy, don’t invest in projects exceeding 1 billion, and let the project owners play by themselves;
3. Exchanges: According to market conditions, strictly suppress the initial market value, and strictly manage the release of institutions, or clearly announce the subsequent unlocking of the project, and make a mark in the secondary market trading.